Installing Hyper-V on a server establishes the server as a virtualization server. Each virtual machine you install on the server must be assigned resources to use and then be configured. The number of virtual machines you can run on any individual server depends on the server’s hardware configuration and workload.

During setup, you specify the amount of memory available to a virtual machine. Although you can change that memory allocation, the amount of memory actively allocated to a virtual machine cannot be used in other ways.

To install and configure a virtual machine, complete the following steps: 1. Start Hyper-V Manager by clicking Start, Administrative Tools, Hyper-V Manager. 2. In Hyper-V Manager, right-click the server node in the left pane, point to New, and then select Virtual Machine. This starts the New Virtual Machine Wizard. Click Next. 3. In the Name text box, enter a name for the virtual machine, such as AppServer02. 4. By default, the virtual machine data is stored on the system disk. To select a different location, select the Store The Virtual Machine In A Different Location check box, click Browse, and then use the Select Folder dialog box to select a save location. Click Next. 5. On the Assign Memory page, specify the amount of memory to allocate to the virtual machine. In most cases, you should reserve at least the minimum amount of memory recommended for the operating system you plan to install. Click Next. 6. On the Configure Networking page, use the Connection list to select a network adapter to use. Each new virtual machine includes a network adapter, and you can configure the adapter to use an available virtual network for communicating with other computers. Click Next. 7. On the Connect Virtual Hard Disk page, use the options provided to name and create a virtual hard disk for the virtual machine. Each virtual machine requires a virtual hard disk so that you can install an operating system and required applications. Click Next. 8. On the Installation Options page, select Install An Operating System From A Boot CD/DVD-ROM. If you have physical distribution media, insert the distribution media, and then specify the CD/DVD drive to use. If you want to install from an .iso image, select Image File, click Browse, and then use the Open dialog box to select the image file to use.9. Click Next, and then click Finish. 10. In Hyper-V Manager, right-click the name of the virtual machine, and then click Connect. 11. In the Virtual Machine Connection window, click Start. After the virtual machine is initialized, the operating system installation should start automatically. Continue with the operating system installation as you normally would.

When the installation is complete, log on to the virtual machine and configure it as you would any other server. From then on, you manage the virtual machine much as you would any other computer, except that you can externally control its state, available resources, and hardware devices using Hyper-V Manager.